Should You Pay Off Your Mortgage?


Do you know the consequences of paying off your mortgage in today’s interest rate environment? If not, then this video is for you.

If your starting to live off your investments or are approaching retirement, then you’ll most likely have wondered if it makes sense to pay off your mortgage or keep it in retirement.

While most of us hate being in debt, that doesn’t make it a straightforward question.

The problem lies in the current interest rate environment and the “cost” of holding money in an asset like a home vs. putting it to work to earn money and build wealth.

To help answer this question we’re going to cover when it makes sense to keep it or get rid of it.

As always, we’re on a mission to give you the truth about all things retirement-related in the Tucson area so this is something we’re not afraid to tackle.

Without further ado, let’s dive in.

Let’s recap:

  • Find out what your interest rate is vs. what you can earn in an investment.
  • Don’t avoid mortgages just for the sake of being out of debt. Weigh the pros and cons of your situation before you make your decision.
  • Get a good faith estimate on your home and see what options you have.

No matter the approach the question should be what interest rate will you be paying on your debt, how much of a tax break you receive and will that money earn enough to eclipse the benefit of paying down your house.

That’s why we advise that you talk with a mortgage professional, get a good faith estimate and then talk to your financial advisor about the situation so you can make an informed decision.

Like always, if you’re facing retirement and need a second opinion learn about what makes us different, we’ll audit your entire strategy to make sure you have the right tools to make your retirement as low risk as possible and still drive in a good income.

And if you want a further dive into some of the biggest risks with retirement planning then check out our webinar or download our ebook on taking income in retirement.

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